A Bay street sign is seen in Toronto’s financial district.Mark Blinch/The Globe and Mail
Cott Corp., the Canadian beverage company that at one time went head to head with industry behemoths PepsiCo Inc. and Coca-Cola Co., is giving up on the soda business. Story
A year ago, amid a shakeup in regulations that helped to further propel the rise of exchange-traded funds, U.S. ETF powerhouse WisdomTree Investments Inc. announced plans to quickly launch a Canadian arm. But as the company surpasses its one-year mark in Canada this month, WisdomTree has yet to catch on with investors. Story
Greece successfully sold debt to private investors for the first time in three years on Tuesday, making a significant first step toward financial independence when its third international bailout ends next year. Story
FROM THE ANALYSTS
Scotia Capital analyst Jeff Fan argues that it is time for Rogers Communications Inc. to sell its stakes in Cogeco Inc. and Cogeco Communications Inc.
In a research note, he places a value on Rogers' stakes in the companies at a combined $1.4-billion and said Rogers shareholders would be supportive of such a divestiture. His reasons for selling include:
• "The Audet family is not close to selling its stake in Cogeco. In fact, with the company's diversification into the U.S. cable market; the market's support, including private equity support from Caisse de dépôt et placement du Québec (CDPQ); and the shares being at an all-time high, we see few incentives for the family to sell at this time.
• "In the future, if and when the Audet family decides to sell, Rogers would still be the front runner and the strategic expansion would not be altered. We believe Rogers would still be the most likely buyer because of the extensive operating synergies between the two companies. These synergies could also serve to keep other buyers away.
• Selling CCA and CGO shares would be accretive to Rogers, and provide flexibility. Depending on the use of proceeds between debt repayment and share repurchases, we believe selling CCA and CGO shares would be accretive to Rogers, reduce its leverage, and provide flexibility for future investment in its core business in about two years, namely spectrum auction(s)."
DAILY DEALS
On Tuesday, Michael Kors Holdings Ltd. said it had agreed to buy the shoe company Jimmy Choo Ltd. for £896-million pounds, or about $1.2-billion (U.S.), the latest push by a U.S. high-end fashion house to find new sources of growth and what its chief executive officer characterized as the first step in building a bigger international luxury group. Story
Nasdaq acquired a London-based regulatory technology firm Sybenetix which uses algorithms to catch rogue traders, the company said on Tuesday. Story (CNBC)
Grab, Uber's main rival in Southeast Asia, has raised $2-billion (U.S.) so far for its latest funding round, which is being led by SoftBank and Chinese ride-hailing company Didi Chuxing. Story (Pitchbook)
WHAT WE'RE READING
Of all the demands that activist hedge funds make, one has emerged as a clear favourite over the past year: asking the management of a company they target to put up the "for sale" sign. Story (Reuters)
Citigroup Inc (C.N) issued loftier projections for its long-term profitability on Tuesday at the first major conference it has held for its own investors in more than nine years. Story (Reuters)
Wall Street profits by putting investors in the slow lane, Jonathan Macey and David Swensen write. (New York Times)